The irony is that with rates continuing to go up as they have, and with housing continuing to rise, housing has never been more expensive. Here in Calgary specifically, we are still going through the roof as we are still seen as 'affordable' compared to Toronto and Vancouver markets.
I thought housing was going to take a dip last year with interest rates providing some common sense, how wrong I was.
Meanwhile Trudeau has committed to 1 million immigrants a year which only exacerbates the crisis.
Mortgage rates go up, housing goes up, rent goes up. Inflation goes up. It's a self destructive prophecy where government policies conflict with BoC policies. Theoretically, housing should be going down, yet it isn't, and BoC is trying to force it to contract which may not actually happen.
Even those who are locked in at low mortgage rates, eventually will need to renew. But at least they and variable rate holders have a house and can sell high if desired if unable to make payments. Younger generation and renters again is the one getting the short end of the stick
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